Project Risk Environment What is Project Risk management Project risk management is the systematic process of identifying, analysing, and responding to project risks to minimize their impact on project objectives. Risks can encompass a wide array of uncertainties, from budget overruns and timeline slippages to regulatory changes and resource availability issues. Effective risk management ensures that projects can navigate these uncertainties with minimal disruption, thereby safeguarding the projects scope, schedule, budget, and quality. Project risk management is a key part of managing projects. It makes sure projects are not ruined by unexpected problems and challenges. It is not just about fixing issues as they come up it is about spotting and dealing with potential risks before they become big problems. Understanding how important project risk management shows us how it helps guide projects to succeed as planned. Steps in the Project Risk Management Process The project risk management process is a key part of managing projects. It is about spotting, evaluating, and dealing with risks during the whole project. This approach helps teams deal with risks before they become problems, reducing their impact on the projects goals. Question 1 Discuss and analyse project risk from a project risk perspective. Evaluate any five common risks encountered in projects. Illustrate using practical examples. Question 2 The project risk management process is a key part of managing projects. Identify and analyse the five steps in the project risk management process and explain each step applying practical examples from a project of your choice.